India ranked second in global manufacturing competence

[Markus]

India ranked second in global manufacturing competence


Sat, Jul 10 01:10 PM

Lalit K Jha Washington, July 10 (PTI) India has been ranked second, ahead of the US and South Korea, in terms of manufacturing competence globally, a report by Deloitte has said. China, followed by India and South Korea has been ranked first, second and third respectively in the 2010 Global Manufacturing Competitiveness Index; a result of the collaboration between Deloitte Touche Tohmatsu and the US Council on Competitiveness.

"In less than a decade, a new world order for manufacturing competitiveness has emerged along with a tectonic shift in regional manufacturing competence," the report said. The rise in the manufacturing competitiveness of three countries in particular -- China, India, and the Republic of Korea (Korea) -- appears to parallel the rapidly growing and important Asian market," said the 56-page report.

The report notes that China''s ascent to the top of the list is not surprising, given its rising eminence in the manufacturing sector over the past ten years, particularly as a regional hub for foreign outsourced production, foreign direct investments, and joint ventures. "Perhaps more surprising is that India is now positioned at number two and gaining an even stronger foothold on that position over the next five years," the report said, adding India''s rich talent pool of scientists, researchers, and engineers as well as its large, well-educated English-speaking workforce and democratic regime make it an attractive destination for manufacturers.

Noting that since the mid-1990s, India''s software industry has escalated to new heights and post-economic liberation has also opened a pathway to unprecedented market opportunities for Indian manufacturing, it said moreover, beyond low-cost, Indian manufacturers gained experience in quality improvement and Japanese principles of quality management, with the largest number of Deming Award winners outside of Japan. "The country is also rapidly expanding its capabilities in engineering design and development and embedded software development, which form an integral part of many modern-day manufactured products," it said.

The importance of India to manufacturing executives around the world underscores two important points, it said. Under the current competitive index China tops the ranking with the maximum 10 points, followed by India (8.15), South Korea (6.79), the US (5.84), Brazil (5.41) and Japan (5.11).

Source: India ranked second in global manufacturing competence - Yahoo! India News

 

[Chanakyaa]

Great Info.
The world is surely acknowledgeing the indian 'Punch'..

Jai Ho.

 

[Markus]

Great Info.
The world is surely acknowledgeing the indian 'Punch'..

Jai Ho.

Yeah finally....India was always a "services" hub but slowly we are catching up with China.

 

[Ammyy]

Yeah finally....India was always a "services" hub but slowly we are catching up with China.

Yes ...china did great work in past ... and in present they are also doing very good job..

But now India try hard to catch them in every field ....

 

[SpArK]

"Perhaps more surprising is that India is now positioned at number two and gaining an even stronger foothold on that position over the next five years," the report said, adding India''s rich talent pool of scientists, researchers, and engineers as well as its large, well-educated English-speaking workforce and democratic regime make it an attractive destination for manufacturers.

The Best part of the news.!

 

[Markus]

Yes ...china did great work in past ... and in present they are also doing very good job..

But now India try hard to catch them in every field ....

I agree with u but better late than never.

 

[sam27]

CHENNAI, India—This Indian port city, built around a former British fort, in many ways resembles Detroit circa 1910.

The metropolis of about five million people is booming as scores of international car makers and suppliers have set up shop. Ford Motor Co., Hyundai Motor Co, Nissan Motor Co., Renault SA, Daimler AG and BMW AG all have converged here.

They are spending billions of dollars to make Chennai one of the world's biggest hubs of small cars for export as well as for increasingly affluent Indians. Soon, the city will turn out close to 1.5 million vehicles a year, more than any one U.S. state made last year.

Car-parts suppliers also are placing big bets on the city, formerly known as Madras. Tire company Michelin SA and window maker Saint-Gobain SA, both of France, are setting up some of their biggest factories globally in Chennai. Germany's Daimler, meantime, is building a multimillion-dollar test track.

All the investment has generated jobs for more than 200,000 people and accounts for 12% of the economic output of the state of Tamil Nadu.

The kind of manufacturing being done in Chennai is what India needs to bridge the gap between its agricultural work force, which makes up 60% of its population, and high-end services industries, such as outsourcing, that employ relatively few.

Unlike China, India hasn't been able to attract as many foreign investors to set up factories because of bureaucratic barriers and volatile politics. But Chennai's boom is a sign that India can create a productive environment when economic circumstances are right and demand is there. India's economy is expected to grow 9% this year and Tamil Nadu has worked to minimize barriers to investment.

Hyundai has invested $2 billion here, and recently expanded to be able to produce 650,000 cars a year. It is not only cheap factory-floor labor that attracted the South Korean company, but also an abundance of low-wage engineers to program the robots that help churn out vehicles.

On the other side of town, Ford has invested close to $1 billion, deploying production-line technology it doesn't even use in the U.S., including car-painting robots and a deep-water testing pool to ensure cars won't leak during monsoon floods.

Michael Boneham, the Chennai-based managing director of Ford's India operations, said the educated labor, a consistent industrial policy, access to a port and government financial incentives all played a role in luring the U.S. car maker to the city.

"India is now on the radar as one of the two most important markets for Ford strategically world-wide," the other being China, Mr. Boneham said.

Chennai in southern India is rapidly becoming the new Detroit of south Asia as billions of dollars in foreign investment and hundreds of car and car part companies are changing the way this once sleepy port town works and plays.

Ford, among the first foreign firms here, recently announced its best-ever quarter in India: Sales more than tripled in the second quarter compared to a year earlier to 22,858 vehicles thanks to its recently expanded Chennai facilities.

The state of Tamil Nadu has been better than most Indian jurisdictions at providing the land, roads and electricity that the car industry needs. It also set up a single office for them to obtain the dozens of government approvals and licenses required to start or expand a business.

Big projects in India too often run into problems when local governments change parties. But when the state government was taken over by the DMK from the AIADMK in 2006, auto executives said they noticed no change in how they were treated.

The influx of foreigners and foreign money is altering this historic city. In the largely vegetarian region there is little meat for sale. But the Seoul Restaurant is packed with Korean families grilling beef at their tables.

The student population at the Chennai American School has quadrupled to close to 800 as new pupils have arrived from the U.S., Japan, Europe and Korea. A sprawling amusement park across the street from the Hyundai factory, a French bakery, evangelical Korean churches and Japanese grocery stores have popped up in recent years.

"The city has really changed," said R. Sethuraman, the Chennai-based senior vice president of finance and corporate affairs at Hyundai's India unit. "We used to only have South Indian food."

New malls and apartments are being built to serve the growing middle class of auto workers. The state's technical institutes, known for producing computer programmers and engineers, are switching focus to skills useful at car companies.

The growth of the car industry hasn't been without problems. Hyundai unions have staged several strikes to demand better treatment of workers, traffic has become more congested and rents in some of the best neighborhoods are now out of reach of the average Indian.

But Chennai's production capacity is set to rise even further. Japan's Nissan just started making cars here in May after investing close to $1 billion, and it plans to ramp up to more than 400,000 cars a year. Its Indian-made subcompact, the Micra, will hit global roads in October.

—Arlene Chang contributed to this article.

A New Detroit Rises in India's South - WSJ.com

 

[SpArK]

India


Perhaps more surprising is that India is now
positioned at number two—and gaining an even
stronger foothold on that position over the next
five years. India’s rich talent pool of scientists,
researchers, and engineers as well as its large,
well-educated English-speaking workforce and
democratic regime make it an attractive destination
for manufacturers. Since the mid-1990s, India’s
software industry has escalated to new heights
and post-economic liberation has also opened a
pathway to unprecedented market opportunities for
Indian manufacturing. Moreover, beyond low-cost,
Indian manufacturers gained experience in quality
improvement and Japanese principles of quality
management, with the largest number of Deming
Award winners outside of Japan.19 The country is
also rapidly expanding its capabilities in engineering
design and development and embedded software
development, which form an integral part of many
modern-day manufactured products.20
The importance of India to manufacturing executives
around the world underscores two important points.
First, strength in research and development—
paired with engineering, software, and technology
integration abilities—are viewed by global executives
as a vital element of the talent-driven and innovative
manufacturing enterprise of the 21st century.
Second, manufacturing executives increasingly view
India as a place where they can design, develop and
manufacture innovative products for sale in local as
well as in global markets.21 These factors explain,
in part, India’s rise from a low-cost, “back office”
location to a country that is well-positioned to be an
active participant in the entire value chain—as well
as it now being viewed by many executives as an
integral part of their global manufacturing enterprise
and location strategy.


Source - The global manufacturing
competitiveness index

http://www.deloitte.com/assets/Dcom-Global/Local%20Assets/Documents/Manufacturing/DTT_Global_Manufacturing_Competiveness_Index_6_23_2010.pdf

 

[SpArK]

Rank Country Index score
10=High 1=Low


1 China 10.00
2 India 8.15
3 Republic of Korea 6.79
4 United States of America 5.84
5 Brazil 5.41
6 Japan 5.11
7 Mexico 4.84
8 Germany 4.80
9 Singapore 4.69
10 Poland 4.49
11 Czech Republic 4.38
12 Thailand 4.17
13 Canada 4.11
14 Switzerland 3.07
15 Australia 3.07
16 Netherlands 2.90
17 United Kingdom 2.82
18 Ireland 2.78
19 Spain 2.67
20 Russia 2.58
21 Italy 2.42
22 South Africa 2.28
23 France 1.70
24 Belgium 1.18
25 Argentina 1.03
26 Saudi Arabia 1.00

Competitiveness in 5 years


Rank Country Index score

10=High 1=Low

1 China 10.00
2 India 9.01
3 Republic of Korea 6.53
4 Brazil 6.32
5 Untied States of America 5.38
6 Mexico 4.84
7 Japan 4.74
8 Germany 4.53
9 Poland 4.52
10 Thailand 4.35
11 Singapore 4.30
12 Czech Republic 3.95
13 Canada 3.71
14 Russia 3.47
15 Australia 3.40
16 Spain 2.63
17 Netherlands 2.63
18 Switzerland 2.62
19 South Africa 2.52
20 United Kingdom 2.51
21 Ireland 2.43
22 Italy 2.37
23 France 1.92
24 Argentina 1.53
25 Saudi Arabia 1.32
26 Belgium 1.00

http://www.deloitte.com/assets/Dcom-Global/Local%20Assets/Documents/Manufacturing/DTT_Global_Manufacturing_Competiveness_Index_6_23_2010.pdf

 

[Markus]

Wow, In next 5 years, we will get even more close.

 

[SpArK]

Wow, In next 5 years, we will get even more close.

Note that others are falling behind too. Lets hope for a 10/10.

 

[Markus]

Note that others are falling behind too. Lets hope for a 10/10.

We surely will reach there.

 

[Chanakyaa]

Guys this is infact a BlockBlustor News.
Its shows the Might of India .. Its shows the might of The 'New India' ..

We may be ranked second but..

We have Largest Democracy...
We have an Awesome English Speaking Population..
We have a Huge Middle Class..
We produce a great No. Of Scientists and Engineers..

The Best Part , as MMS said .. 'We have Grouth with Ethics'..

And This can even make us No. 1 as well.
Its only a matter of time and an Honest Input from all segments ..

 

[sam27]

Undoubtedly we are doing really great in every sphere but its high time that we bring northeast in the main stream. I bet, it would be the next growth engine for our economic development.

 

[SpArK]

Guys this is infact a BlockBlustor News.
Its shows the Might of India .. Its shows the might of The 'New India' ..

We may be ranked second but..

We have Largest Democracy...
We have an Awesome English Speaking Population..
We have a Huge Middle Class..
We produce a great No. Of Scientists and Engineers..

The Best Part , as MMS said .. 'We have Grouth with Ethics'..

And This can even make us No. 1 as well.
Its only a matter of time and an Honest Input from all segments ..

If the red tapes and corruption is controlled to a certain level and providing immense opportunity and encouragement to start small scale manufacturing hubs who can compete in global level, nothing can stop us.